INTRODUCTION TO INVESTING

What is stock?

Ownership of a company Raise $ to fund expansion

Value based on speculation Supply and Demand Assessed value

Technology has opened the market to everyone

Other Investments

Savings Accounts Certificates of Deposit Mutual Funds Bonds

Risks

Be aware of risk in investing in the market; nothing is guaranteed

Things to consider: What if company doesn’t do as well as

expected? What if the company goes out of business? What if the economy changes for the

worse? Best way to minimize risk? Diversify

Benefits

Higher rate of return Savings pay 2-3% a year, stocks have

averaged 10% return a year Help earn enough money for retirement Internet has made stock investing very

low cost Own companies that make products you

like